Solutions · Complex & life stage
Tax-free access to your home's value, on your terms.
Wouldn't it be nice if you had the money to do more of the things you want to do? A CHIP Reverse Mortgage could be just what you need. It's the simple and sensible way to unlock the value in your home and turn it into cash to help you enjoy life on your terms.
Reviewed by Stan Rashev, mortgage & real estate broker · Updated
The short answer
A CHIP Reverse Mortgage lets Canadian homeowners aged 55 and older borrow up to 55% of their home's value, tax-free, with no regular payments while they live in the home. Interest accumulates and the loan is repaid when the home is sold. It suits retirees who are house-rich and cash-poor, but it should be compared with a line of credit, refinance or downsizing. Best Mortgage Montreal models each option with your family and advisors.
01 Sounds like you?
This is for you if…
With guidance from a mortgage professional, you can use the money any way you wish — to enjoy your retirement, cover unexpected expenses, update your home or help your family without depleting your savings.
Talk it through- 01You're 55 or older and most of your wealth is in your home.
- 02You want to stay in the home you love.
- 03You'd like to help children or grandchildren buy their first home.
- 04You want to clear an existing mortgage or line of credit.
- 05Monthly payments on a regular loan would strain your retirement income.
03 Structures we'll compare
There's always more than one way to do it.
We'll put at least two or three of these side by side for your situation — with the real cost, the trade-offs and the fine print of each.
04 In depth
What to know before you decide.
For many homeowners over 55, the home is the largest part of their wealth, while retirement income is fixed. A reverse mortgage is one way to bridge that gap without moving or taking on monthly payments. Like any long-term decision, it works best when it is compared honestly with the alternatives.
Ask us about your situationWho qualifies and how much is available
A CHIP Reverse Mortgage is available to Canadian homeowners aged 55 and older on their principal residence; if the home is jointly owned, both owners must meet the age requirement. The amount you can receive — up to 55% of your home's value — depends on the age of the youngest homeowner, the home's location and type, and its appraised value. Any existing mortgage or line of credit secured by the home is paid off first from the proceeds.
Lump sum, planned advances or both
You can take the funds as a single lump sum, as planned advances over time, or as a combination. A smaller initial amount with later advances means less interest accumulating from day one, which often suits people supplementing retirement income. A lump sum suits clearing debt, renovating to age in place or helping family with a down payment. We model how the balance and your remaining equity evolve under each option before you choose.
Involving your family and your advisors
A reverse mortgage affects your estate, so it is worth discussing openly with your children or heirs. Independent legal advice is part of the process, and appraisal, legal and set-up costs apply. We are equally comfortable recommending a line of credit, a refinance or downsizing when one of those fits better — and we are happy to include your accountant or financial planner in the conversation so everyone understands the decision.
05 Costs, timing & pitfalls
What it costs, how long it takes — and what to avoid.
Costs to understand
A reverse mortgage carries a higher interest rate than a conventional mortgage, and interest compounds on the balance because no payments are required. There are also appraisal, legal and set-up fees, and independent legal advice is part of the process. Most lenders guarantee that you will never owe more than the fair market value of the home when it is sold, provided you meet the loan's obligations such as paying property taxes and insurance.
Timeline from application to funds
From the first conversation to receiving the funds usually takes three to five weeks: an application and appraisal, independent legal advice for each borrower, and a signing with the notary. Any existing mortgage or line of credit on the home is repaid from the proceeds at closing, and the remaining amount is paid as a lump sum or set up for planned advances.
Mistakes to avoid
Taking the maximum lump sum when you only need part of it, which adds interest from day one. Not involving the family, which can create surprises for heirs. Overlooking alternatives: a secured line of credit can cost less if you can qualify and afford interest payments, and downsizing may release more equity at no borrowing cost. We compare these honestly, and are just as comfortable recommending them when they fit better.
Questions to ask before you sign
Before signing, ask: how will the balance grow over 10 and 15 years, what remains for my estate, and what happens if I move into care or want to sell? Ask whether a line of credit or downsizing would meet the same need for less. We model all of it with you, and we encourage you to bring your children or advisors to the conversation.
07 Run your own numbers
Home Equity Calculator
Find out how much equity you can access, what it could fund and what it would cost each month — as a refinance or a line of credit. Open full page
Your home, in three parts
08 Good to know
Questions people ask before they call.
Can't find yours? Stan answers the phone himself more often than you'd expect.
(514) 994-1030Toll-free 1 855 777-1711 · by appointment in Saint-LaurentHow much can I receive?
Up to 55% of your home's value, depending on your age, your home's location and type, and its appraised value.
Are there any conditions?
The only condition is that any outstanding loans secured by your home — an existing mortgage or line of credit — are paid off with the proceeds.
What happens when we sell or pass away?
The loan and accrued interest are repaid from the sale. You or your estate keep everything left over, and you can never owe more than the home's fair market value at the time of sale, provided the terms are met.
Is it the right choice for everyone?
No. Interest compounds and rates are higher than a conventional mortgage, so we compare it honestly against a line of credit, a refinance and downsizing — and involve your family if you'd like.
Related guides
Read more before you decide.
09 Often combined with
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About the reviewer
Stan Rashev · Founder, mortgage & real estate broker
Stan Rashev has helped Montréal families, investors and business owners structure mortgages for 22 years. He works with more than 30 lenders, holds a master's degree in engineering, and serves clients in English, French, Russian and Bulgarian.
- Canada's Top 75 Mortgage Brokers, 2023
- #1 broker at Dominion Lending Centres Centre-West Montréal, three years running
- Top 5 broker at First National, Québec & Atlantic
- Desjardins Excellence Gala, 2025
Full profile LinkedIn How we review content
Mortgage brokerage in Québec is regulated by the Autorité des marchés financiers (AMF). You can check any broker's right to practise with the AMF. This page gives general information, not personalized financial advice; rules and rates change, and your options depend on your full file.
10 Start here
Request a confidential mortgage review.
Tell us what you're trying to solve. We'll come back within one business day with our read on the situation and the options worth considering — whether that's with us or not.
- A 30-minute conversation about your complete picture, not a rate quote
- No credit check to get started, and nothing to sign
- A minimum of 2–3 tailored options, explained in writing
- Your information is never shared with third parties
- Zero obligation or cost to you
Thank you — we're on it.
Stan or a member of the team will be in touch within one business day. If it's urgent, call (514) 994-1030.